DATA: Global pricing trends

09 October 2014

An examination of global market price changes.

Between Q2 2013 and Q2 2014, median 10Gbps wavelength prices across key routes in North and South America decreased an average of 16%. The rate of price erosion ranged from 8% on Rio de Janeiro-São Paulo to 23% on Miami-New York.


Source: Wholesale Bandwidth Pricing Database, TeleGeography (www.telegeography.com)


The Asia-Pacific capacity market remains dynamic, with increases in demand, supply, and competition fueling some of the sharpest price erosion globally. Between Q2 2013 and Q2 2014 price declines for 10Gbps wavelengths were steepest on intra-Asia and trans-Pacific routes, with medians on Hong Kong-Tokyo and Los Angeles-Tokyo falling 26% and 36%, respectively.


Source: Wholesale Bandwidth Pricing Database, TeleGeography (www.telegeography.com)


Between Q2 2013 and Q2 2014, median 10Gbps wavelength prices in Europe and the Atlantic decreased an average of 16% and 9%, respectively. Prices in the two regions are some of the lowest amongst primary global routes.


Source: Wholesale Bandwidth Pricing Database, TeleGeography (www.telegeography.com)


Median best efforts T-1/E-1 port prices in key global cities fell an average of 15% between Q2 2013 and Q2 2014. The rate of price decline ranged from 9% in Mumbai to 21% in Sydney. Price disparaties between mature and emerging enterprise markets persist.


Source: Enterprise Network Pricing Service, TeleGeography (www.telegeography.com)


After years of rapid price erosion, IP transit prices have begun to stabilise. Between Q2 2013 and Q2 2014, median 10 GigE IP transit port prices in key global cities decreased an average of 7%, compared to 23% compounded annually since Q2 2011.


Source: IP Transit Pricing Service, TeleGeography (www.telegeography.com)


Between H2 2013 and H2 2014, median FastE Ethernet over MPLS pseudowire prices on key global routes decreased an average of 34%. The relationship between prices across markets is mostly consistent with transport prices. Higher prices are sometimes observed in markets where Ethernet availability is more limited.


Source: Ethernet Pricing Service, TeleGeography (www.telegeography.com)

Topics: data, 10g, north, south, america, median, monthly, pricing, prices